Mortgage sales rise by £637m in November says Equifax report

MORTGAGE sales in the UK rose by 4.1 per cent (£637.4m) in November, according to Equifax Touchstone analysis of the intermediary marketplace. while y

MORTGAGE sales in the UK rose by 4.1 per cent (£637.4m) in November, according to Equifax Touchstone analysis of the intermediary marketplace. while year-on-year sales were up 3 per cent to £470.1m.

Buy-to-let sales for the month jumped 10.8 per cent (£334.1m) on October. Residential figures were also up, increasing 2.5 per cent (£303.3m) on the previous month.

The majority of regions across the UK witnessed positive sales growth in November. Wales led the way with a rise of 9.9 per cent, followed by the South East (8 per cent) and the Midlands (7.5 per cent). In Northern Ireland, the growth was a more modest 3.4 per cent.

The North West and London were the only regions to see a drop in sales, falling by 2.3 and 2.6 per cent respectively.

John Driscoll, Director at Equifax Touchstone, said: “Mortgage sales in the UK have once again remained strong. Buy-to-let figures in particular have continued to gain momentum, enjoying positive growth for a fourth consecutive month, a trend we expect will continue given increasing difficulty in getting on the housing ladder and the subsequent increase in demand for rental properties.

“As we approach the end of the year, the outlook for the market remains unclear. The full impact of the recent rate hike on sales is yet to be fully felt and even the abolition of stamp duty for first time buyers announced in November’s budget was not received as wholly positive; some within the industry believe house prices may actually rise as a result, which could negatively affect mortgage sales.”

The data from Equifax Touchstone, which covers the majority of the intermediated lending market, shows that the average value of a residential mortgage in November was £191,425 (2016: £190,627) and £144,537 for buy-to-let (2016: £163,115).